Quote Info

You can achieve Negative Churn, which means you are adding MRR at a faster pace than you are losing it.

InsightSquared

More SaaS + Software Stats

The median Customer Acquisition Cost (CAC) for upsells is just $0.28 per $1, less than a quarter of the $1.18 spent to acquire $1 of revenue from a new customer

The fastest growing SAAS companies averaged $250k in MRR and were only losing around 3.2% of that revenue each month to churn

SaaS, and other recurring revenue businesses are different because the revenue for the service comes over an extended period of time (the customer lifetime)

Non-renewal rates are higher than gross dollar churn rates and higher for shorter duration contracts

It’s common for startups to grow rapidly, doubling or tripling in size year over year, until they hit $5M in ARR

Improve Your Pricing Schedule And Turn More Profit

The very best SaaS businesses have a negative revenue churn rate and will have a Revenue Retention Rate of greater than 100%

It’s 4x cheaper to upsell existing customers than acquire new customers: costing just $0.28 to acquire an additional dollar of revenue

Internet sales strategies are the only sales method to see a decline in CAC, dropping from $0.54 to $0.42 between 2014 and 2015

Account Churn Rate (ACR) = customers at beginning of month – customers at the end of month / customers at beginning of month

More Growth Strategy Stats

in 2016, women-led companies received $1.46 billion in investments from venture capitalists. Male-led companies, on the other hand, received $58.2 billion

Three uses for the SaaS Guidelines

36% of SaaS businesses managed to reduce their revenue churn over the last 12-months

If a software company grows at 20% annually, it has a 92% chance of ceasing to exist within a few years

47% of millennials want to work at diverse companies, according to a recent study.

Growth rate accelerates in the expansion stage ($2.5M – $10M ARR)

Improve Your Pricing Schedule And Turn More Profit

The very best SaaS businesses have a negative revenue churn rate and will have a Revenue Retention Rate of greater than 100%

orecasts suggest that global blockchain technology revenues will experience massive growth in the coming years, with the market expected to climb to over 23.3 billion U.S. dollars in size by 2023.

SAAS companies need to track the number of visitors, trials and closed deals; And also track the conversion rates, with the goal of improving those over time